Ladder Announces $850 Million Revolving Credit Facility to Upsize and Extend Existing Facility and Reduce Cost of Debt

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Ladder Capital Corp ("Ladder,” the "Company,” "we” or "our”) (NYSE: LADR), a leading diversified commercial real estate finance platform, recently closed and subsequently upsized a revolving credit facility (the "Credit Facility”) with commitments of $850 million. The Credit Facility has an "accordion” feature under which the Company may further increase the total borrowing availability to up to $1.25 billion. The Credit Facility replaced Ladder’s prior $324 million revolving credit facility, which had no balance drawn at the time the Credit Facility closed.

The Credit Facility, which more than doubled Ladder’s existing revolving credit facility at a significantly lower cost of funds, has a maturity date of December 20, 2028, and up to two 6-month extensions thereafter at the Company’s option. The larger Credit Facility is expected to further enhance the liquidity and flexibility of the Company’s balance sheet. Without changing any commitments, the agreement governing the Credit Facility will be automatically replaced by an unsecured investment grade agreement if certain debt instruments of the Company receive investment grade ratings from two rating agencies. The margins for borrowings under the Credit Facility are tighter than that of Ladder’s prior revolving credit facility and further adjust based on the Company’s credit rating. Ladder is currently rated just one notch below investment grade from Moody’s (Ba1) and Fitch (BB+), with a positive outlook from both agencies. S&P rates Ladder at BB.

"We are pleased to see our strategic plans coming together. Upsizing our revolving credit facility is a crucial step as we continue on our path toward potential investment grade ratings,” said Brian Harris, Ladder’s Chief Executive Officer. "The success of this transaction reflects our strong relationships with financial partners, our differentiated approach to financing, and our commitment to building enduring value through a commercial real estate finance platform grounded in stability, discipline, and long-term resilience.”

A total of 10 lenders participated in the Credit Facility. JPMorgan Chase Bank, N.A. ("JPMorgan”) is the Administrative Agent and Collateral Agent for the Credit Facility, and JPMorgan, Wells Fargo Securities, LLC, Bank of America, N.A., M&T Bank and Société Generale are acting as Joint Bookrunners and Joint Lead Arrangers. Barclays Bank PLC, Citibank, N.A., Raymond James Bank, and U.S. Bank National Association are acting as Joint Lead Arrangers, and along with Wells Fargo Bank, N.A., Bank of America, N.A., M&T Bank and Société Generale are acting as Syndication Agents. Deutsche Bank AG New York Branch is acting as Documentation Agent.

About Ladder

Ladder Capital Corp (NYSE: LADR) is a leading diversified commercial real estate finance platform that specializes in underwriting commercial real estate across the capital stack. With $5.4 billion of assets, our investment objective is to preserve and protect shareholder capital while generating attractive risk-adjusted returns.

Since 2008, we have invested over $46 billion in debt and equity, serving both institutional and middle-market clients. Our primary business is originating fixed and floating rate first mortgage loans secured by all commercial real estate property types. We also own and operate commercial real estate, including net leased commercial properties, and we invest in investment grade securities secured by first mortgage loans on commercial real estate.

We are internally managed and members of our management team and board of directors collectively own more than 11% of Ladder’s equity, making them the Company’s largest shareholder and aligning their interests closely with fellow stakeholders. Since our founding, their vision has been to support the Company’s investment platform with a conservative and durable capital structure. Our industry-leading credit ratings reflect this differentiated financing strategy.

Ladder is headquartered in New York City with a regional office in Miami, Florida. All amounts in this section are as of September 30, 2024.

Forward-Looking Statements

Certain statements in this release may constitute "forward-looking” statements, including those regarding the Credit Facility and expectations related to the Credit Facility’s impact on the Company’s financial condition, the Company’s ability to achieve investment grade credit ratings and any potential future change in those credit ratings, the potential for the Credit Agreement to be automatically amended, the Company’s access to the accordion feature of the Credit Facility, the impact of macroeconomic factors beyond the Company's control, including changes in interest rates and the Company’s strategic plans and objectives. These forward-looking statements are based on management’s current opinions, expectations, beliefs, plans, objectives, assumptions or projections regarding future events or future results. These forward-looking statements are only predictions, not historical fact, and involve certain risks and uncertainties, as well as assumptions. Actual results, levels of activity, performance, achievements and events could differ materially from those stated, anticipated or implied by such forward-looking statements. While Ladder believes that its assumptions are reasonable, it is very difficult to predict the impact of known factors, and, of course, it is impossible to anticipate all factors that could affect actual results on the Company’s business. There are a number of risks and uncertainties that could cause actual results to differ materially from forward-looking statements made herein including, most prominently, the Company’s ability to achieve investment grade credit ratings and any potential future change in those credit ratings, the potential for the Credit Agreement to be automatically amended, the Company’s access to the accordion feature of the Credit Facility and other market trends in the Company’s industry, interest rates and real estate values and the risks discussed under the heading "Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, as well as its consolidated financial statements, related notes, and other financial information appearing therein, and its other filings with the U.S. Securities and Exchange Commission. Such forward-looking statements are made only as of the date of this release. Ladder expressly disclaims any obligation or undertaking to release any updates or revisions to any forward-looking statements contained herein to reflect any change in its expectations with regard thereto or changes in events, conditions, or circumstances on which any such statement is based.

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